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TERRA ECONOMICUS

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  • Economic and institutional aspects of wine consumption in the context of globalization and climate change in Europe and Russia

Economic and institutional aspects of wine consumption in the context of globalization and climate change in Europe and Russia


TERRA ECONOMICUS, , Vol. 19 (no. 4),

For centuries, wine has played an important role in the economic institutions of food security and agri-food complex. However, due to the globalization and economic development wine industry has been in the midst of a number of changes and new challenges in recent decades, to which it is forced to respond in order to maintain its competitiveness and economic efficiency. Changing consumer preferences and requirements lead to the changes in wine consumption around the world. New territories enter the wine market, which modifies the institutions and the mode of the wine trade from a global perspective. All these aspects resonate with the climate change. Wine as a crop is highly sensitive to climatic and soil conditions which results in the extraordinary sensitivity of the entire viticulture and wine-making sector. Our paper evaluates wine consumption in selected European countries and Russia in the context of climate using the beta convergence method. Beta convergence was used as research method, through which changes in differences between selected countries whose consumption exceeds 2 million hectoliters were examined. The basic sample consisted of 14 countries from Europe and Russia. The results show that globalization processes are blurring some of the differences between countries, which are converging in terms of wine consumption in the long run. At the same time, however, it can be stated that the influence of natural conditions and historically given peculiarities cannot be disregarded. National customs are also historically adapted to the climate, including the preferred types of beverages.
Citation: Navrátilová M., Beranová M., Severová L. (2021). Economic and institutional aspects of wine consumption in the context of globalization and climate change in Europe and Russia. Terra Economicus 19(4): 127–140. DOI: 10.18522/2073-6606-2021-19-4-127-140
Acknowledgment: This work was funded by the Faculty of Economics and Management, Czech University of Life Sciences in Prague (Internal Grant Agency, IGA) under Grant number 2020B0002 – “The impact of climate change on the economic performance of the viticulture and wine-making sector in the Czech Republic”.


Keywords: institutional change; beta convergence; climate change; wine consumption; food security

JEL codes: D10, L66

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Publisher: Southern Federal University
Founder: Southern Federal University
ISSN: 2073-6606